Rollback decisions imposed ‘against’ industry, says CII

Shivani Bhakoo

Tribune News Service

Ludhiana, July 26

The state chapter of the Confederation of Indian Industries (CII) is worried over the recent decisions taken by the state government against the industry. The CII feels that at this time when the entire industry is passing through a recessionary trend, such decisions will add to the burden on the industry. Expecting a second thought on the matter, a letter has been sent to the Chief Minister and the Chief Secretary, Punjab, to rollback the decisions to give a breather to the industry.

Elaborating about the letter, Rahul Ahuja, chairman, CII, Punjab chapter, told The Tribune that the first decision of the state government — the recent judgment by the PSERC to allow Punjab State Power Corporation Limited (PSPCL) to recover the fixed charges on power connections for the lockdown period from the medium supply (MS) and large supply (LS) industries in staggered instalments over the next six months, beginning from September 2020, — was a big jolt.

“The condition of the industry is open to all. When entire units were shut and there were no orders and production, how could the industry be asked to pay fixed power charges for the period in instalments?” asked Ahuja.

He said the second big shock to the industry was the decision by the Department of Local Government wherein, all multiplexes, petrol pumps, buildings of 15 m and above, residential colonies, industrial units, marriage palaces and hotels with three-star rating and above would have to pay Rs 20,000 annually to get the annual fire NOC renewed.

Kishan Thakur, owner of a local marriage palace, said with no orders, the condition of big marriage palaces was miserable.

“Our Industry is already incurring huge losses. Persons connected with us are trying hard for survival. Overall, there is a slump in the market. There are no bookings and we continue to bear overhead costs. How can the government ask us to get a certificate for Rs 20,000,” rued Thakur.

Ahuja stated in the letter that the industry foresees erratic production activities due to uncertain Covid conditions in the coming months. In fact, at the onset of the crisis, the industry was assured by the state government that fixed charges for two months during the lockdown period for the industries would be waived which was a big respite. However, the subsequent decision by the government to withdraw its earlier order of waiving the fixed charges and then drastically enhancing the annual fire charges from Rs 1,000 earlier to Rs 20,000 has not gone down well.

Ahuja added that: “We have requested the state government to rollback both decisions to save the industry.

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